It is VERY hard to get a Ch 7 declared. CH 13 with a repayment plan and a trustee is more likely. DH filed for ch13 and just finished yr 1 of 5 in re-payment. (mental health issue). Basically the ch 13 stopped the interest. I am not included in the filing so my credit is ok. We have kept the house and our vehicles. Basically 2/3 of his income goes to his trustee for repayment. It is not easy. I have become the money caretaker. He is never going to be able to handle money responsibly due to his mental health condition.
He has taken a second job to get some more money flowing in. I admit we are just squeaking by. He ran up about 25,000$ in debt on my name that I am handling and repaying. There was close to 100,000$ on his name.
Take the counseling seriously, maybe get more too. There has to be a reason behind the mess and will help you not get back in once it is over.

WE too had to go through bankruptcy. We live in Michigan also.
Husband was laid off , I can no longer work due to medical reasons. There is a 18 to 24 month wait for a social security disability hearing in this state. Even after bankruptcy we are still having a hard time making ends meet. WE have been living pretty much on food hand outs from churches and other community donations. I feel for you. My credit was better than my husbands when we met . But There are a lot of people in the same boat as you and I. It took us a long time to come to this decision. A lot of tears cried. But I am thankful we did it.
The stress was making us sick.
Do what you have to do and don't feel guilty for doing it.

If you close your credit card accounts before they raise the rates, your rate will be locked at the lower rate for 5 years. If you use the card after they raise the rates, it acknowledgement that you agree to the new rate.
You'd be able to put that debt into payments, if you're late, well, then prioritize: Shelter, lights, food, etc....then the cards will have to wait.
I'll see if I can find the wording on the CC stuff and post the link.
I wish you the best.

Ok, is anyone really reading what this woman is saying...I mean really reading. Right now groceries has to go on cards. There is no cash for food. She is "There are nights I eat little or no dinner so that the kids and dh will have plenty". She is only taking her meds now every other day and the kid has a serious heart problem with several meds. The only way they have got as far as they have is using vacation days which are almost up. His hours are going to be cut further this winter. There are 10 CC of which two are $10,000 each. That's just 2. And if I read right they haven't used them in ages and ages except the one for groceries.

She says interest rates are going up again in Dec, although I have no idea how she knows this and I keep up on all of that. That is my fear also on my end.

On a 7 it is wiped out unless house is reaffirmed but on a 13 CC's and unsecured are not paid back 100%. It is a percentage based on what you CAN pay back in 3 to 5 years. You will be asked to make an estimate of this figure and it will either be accepted or denied.

It sounds to me, and we are going thru this ourselves as you know, they know when vacation hours are over, the credit cards in Dec are raising, hours are cut in winter that it is not going to be doable. They are planning so that they aren't down to the lint in their pockets and quite frankly I don't blame them.

Also, while Ramsey may be a very smart man, he does not walk on water...GASP !!!! He himself filed bankruptcy...Another Gasp!!!
I agree with alot of what he says but not everything which is my right and does not make him right in every situation. Just means he has an opinion like everyone else which happens to work for alot of people, a whole lot of people....not everyone.

Bank of America is THE godfather of Hell with Wells Fargo running neck and neck. When the world ends the only things that will be left are cockroaches, Walmart, Wells Fargo and Bank of America. Not necessarily in that order. The order remains to be seen.

Niko, I am reading what she's saying, and it sounds to me like she's paying the credit cards before taking care of her household.

Dave Ramsey did file bankruptcy. He did it after a series of short notes totaling near a million dollars were called without warning or reason other than the bank that bought the bank he dealt with got freaked out by a 26 yr old owing a million when he had 6mil in real estate.

He also went back afterwords and paid back the creditors that he'd included in the bankruptcy.

Listen - Jamie MAY VERY WELL end up needing to file bankruptcy. But right now, from reading her posts, it sounds very much to me that there are a number of things she and DH could be trying *first* to avoid this outcome.

If you could kick in the pants the person responsible for your problems, you wouldn't be able to sit for a month.
Did you know that a 4 year student paying $20,000/year who finances their education graduates with over $103,000 in debt to start? But a student who works and pays cash and takes 6 years to graduate ends with $6,300 in their pocket! So much for "getting a head start by financing!"
Greebo(Nerd Spender): Loving and extremely patiently tolerated husband of ceashels.WARNING: Y Chromosome behind the keyboard. Adjust your listening filters appropriately!

Three Two mortgages, twoone no car loans, one no credit cards, and a partridge in pear tree!

I really didnt mean for this to turn into a debate on Bankruptcy. We are having a terribly hard time dealing with this. We have struggled like this for over a year now and my husband and I have shed more tears then I care to think about over it. It is not an overnight , lets do this the easy way choice. If we thought it would stay the way it is we would keep muddling through but I know it wont. Its gonna get worse from here . I know the interest rates are going up because I was mailed a letter by the cc companies that told me so. When I called to reject the new rates I was told I could reject the rates but that they would be increasing the minimum payments to compensate for that. All these changes go into effect on the various cards on different dates in November and December. Dh's contract is up in december and the amount we pay for health insurance is sure to be at least doubled according to the boss and that will take every cent of what is left of his check at the end of the week. We pay 38.00 a week for our portion. I know , thats nothing in comparsion to alot of people but when its closer to 80.00 a week that is all our dispoable income. They also are saying they would like everyone to take 5% paycut on top of the raise in health insurance rates. We will be lucky if they dont go on strike honestly. Alot of the guys he works with have no familes and there is such bad morale there due to shady treatment of the employees they are apt to vote to strike . Stupid and biting their nose off to spite their face but I wouldnt be surprised. My dh works his ass off and has aged at least 5 years in the last year. He has begun to have health issues due to the stress and I know that if we are allowed to go into chapter 7 or 13 we will never find ourslves here again. This is the lowest point our marrieage has ever been in and we intend on saving it even we have to go through bankruptcy to do it. Something has got to give. I honestly thank you all for you responses and suggestions. No one can think any less of us for this then we havent felt about our own selves for it.

If the debts were discharged we could pay the mortgage, regular dr. bills, groceries and utilites, car payment , prescriptions and have a small amount to set aside for emergencies. Maybe 25.00 a week and still be able to put gas in the cars and live day to day.

Originally Posted by Jamielane

Dh's contract is up in december and the amount we pay for health insurance is sure to be at least doubled according to the boss and that will take every cent of what is left of his check at the end of the week. We pay 38.00 a week for our portion.

So when they double the 38 to 72, does your 25 left over become -13? Or is the $25 left over including the insurance increase that's coming?

If you could kick in the pants the person responsible for your problems, you wouldn't be able to sit for a month.
Did you know that a 4 year student paying $20,000/year who finances their education graduates with over $103,000 in debt to start? But a student who works and pays cash and takes 6 years to graduate ends with $6,300 in their pocket! So much for "getting a head start by financing!"
Greebo(Nerd Spender): Loving and extremely patiently tolerated husband of ceashels.WARNING: Y Chromosome behind the keyboard. Adjust your listening filters appropriately!

Three Two mortgages, twoone no car loans, one no credit cards, and a partridge in pear tree!

The numbers with the 25.00 to save every week would be different if in fact the insurance goes up. If everything is discharged all the bills etc are paid and the insurance goes up in December then our disposable day to day income would be closer to 75.00 a week without the weekly savings after gas is put in the cars. So if we saved 25.00 a week until we had a decent emergency fund at least then we would have 50.00 a week for daily living during the week with all bulls paid including the increase of health insurance. If they do take a pay cut then the numbers all change again.

My problem here is that I don't think you'll be on solid ground after the bankruptcy. It'll buy you a couple of months until something else goes wrong.

Here we agree, at least. I think the house and van need to go today and whatever you rent needs to be cheap, wherever you end up.

If you could kick in the pants the person responsible for your problems, you wouldn't be able to sit for a month.
Did you know that a 4 year student paying $20,000/year who finances their education graduates with over $103,000 in debt to start? But a student who works and pays cash and takes 6 years to graduate ends with $6,300 in their pocket! So much for "getting a head start by financing!"
Greebo(Nerd Spender): Loving and extremely patiently tolerated husband of ceashels.WARNING: Y Chromosome behind the keyboard. Adjust your listening filters appropriately!

Three Two mortgages, twoone no car loans, one no credit cards, and a partridge in pear tree!

There is nothing to rent here any cheaper then the mortgage. I know because my parents just ran through the whole area looking for a cheaper place to rent . Truly, the house payments are 740.00 . The house next door to us rents for well over 800.00 and its a one bedroom. The cheapest house my parents found in this county (which is required for my daughter to stay in her school) was 780.00 for two bedrooms. I DO NOT live in a fancy neighborhood by any stretch . The van may indeed have to go . I have no objection to that . I just need to have some way to get to dr. appointments and the school.

Niko, I am reading what she's saying, and it sounds to me like she's paying the credit cards before taking care of her household.

Dave Ramsey did file bankruptcy. He did it after a series of short notes totaling near a million dollars were called without warning or reason other than the bank that bought the bank he dealt with got freaked out by a 26 yr old owing a million when he had 6mil in real estate.

He also went back afterwords and paid back the creditors that he'd included in the bankruptcy.

Listen - Jamie MAY VERY WELL end up needing to file bankruptcy. But right now, from reading her posts, it sounds very much to me that there are a number of things she and DH could be trying *first* to avoid this outcome.

I agree, I just hate to see some people talk like it's the totally worst thing that could happen in life and the remark of the effect on taxpapers. They are taxpayers also and will continue to be so. If a horse is dead, no matter how much you beat it it isn't getting up. Thank you grandma.
What I saw was this, "Then it will be in the custody of dh at all times becasue I am the weak one." So would it start again, cause once filed they can't do it again for a long time. Then there is no out.
Some remarks when they hit home just get my ire up...sorry.

Bank of America is THE godfather of Hell with Wells Fargo running neck and neck. When the world ends the only things that will be left are cockroaches, Walmart, Wells Fargo and Bank of America. Not necessarily in that order. The order remains to be seen.